Policy repo rate reduced to 4% from 4.40%

In a monetary policy statement, 2020-21, RBI resolution of the Monetary Policy Committee (MPC) said on the basis of an assessment of the current and evolving macroeconomic situation, the MPC at its meeting decided to:

1: Reduce the policy repo rate under the liquidity adjustment facility (LAF) by 40 bps to 4.0 per cent from 4.40 per cent with immediate effect.

2: Accordingly, the marginal standing facility (MSF) rate and the Bank Rate stand reduced to 4.25 per cent from 4.65 per cent; and the reverse repo rate under the LAF stands reduced to 3.35 per cent from 3.75 per cent. 3: The MPC also decided to continue with the accommodative stance as long as it is necessary to revive growth and mitigate the impact of COVID-19 on the economy, while ensuring that inflation remains within the target.

Alrosa May trading through digital platform

Alrosa offered an option to its long-term customers to buy rough diamonds through its digital platform amidst limited business travel due to Covid-2019 pandemic related restrictions. At the digital tender taking place between May 15 and 29, 2020, the company offers over 800 rough diamonds from 5-10 carats batches.

The offered volume is the largest Alrosa has ever put on a digital tender. The company provides detailed information on each diamond for remote evaluation. Clients logged to their personal online account get full digital scans of auctioned stones, including data on their external shape, inclusions, color, fluorescence, as well as photos.

Good ideas and collaborations in post Covid-19 era!

Ali Pastorini, Co-owner Del Lima Jewelry brand and President of Mubri - Mujeres Brillantes International Association expressed amid lockdown. Being a Market Consultant with expertise in Latin America region she said about resumption and change in business landscape.

In the context of doing business & resumption in post Covid-19, Ali said, I have no doubt, things are already changing. It is no longer a discussion about whether it will change, but how we will adapt to this new reality. I, personally, with my jewelry brand have already changed some attitudes and behavior to adapt this new reality in the most effective way, both from the B2B and B2C point of view.

Retail jewellers facing elongated capital cycle

Retail Jewellers Facing Elongated

Working Capital Cycle amid Lockdown!

This is the second and last wire under the series of India Ratings and Research’s (Ind-Ra) assessment of the impact of Covid-19 pandemic on the retail jewellery sector. The wire focuses on the impact on profitability, liquidity and credit profile of sector companies.

A non-exhaustive study of a few Ind-Ra-rated retail jewellery players in ‘IND A-’ and ‘IND AA-’ rating categories reveals that they either have sufficient liquidity available or are backed by strong bank funding or outstanding free cash, which will enable them to manage liquidity in the short term.

No FCRF quarterly index for Q1

Covid-19 restrictions temporarily

halt fancy color diamond trade!

Due to the Covid-19 pandemic, for the first time since its inception in 2015, the Fancy Color Research Foundation (FCRF) will not publish the Fancy Color Diamond Index (FCDI) for Q1 2020.

The FCRF had concluded the quarterly data collection process from its data suppliers and learned that the volume of transactions conducted in this quarter was not sufficient to establish accurate market pricing data for the majority of fancy color diamond categories.

Highest demand for Eagle platinum coins

Information for ‘Platinum Beyond the Bench’ is provided

By the World Platinum Investment Council (WPIC)

Launched in 1997, American Eagles are the US’s official platinum bullion coins and the only platinum bullion coins of which the weight, content and 99.95 per cent purity are guaranteed by the US government. All American Eagle platinum coins are legal tender – and the 1 oz coin, which since 2014 is the only size issued, has a $100 face value although, in practice, the coins are not used in circulation.

MSME to consider technology upgradation

Union Minister for MSMEs and Road Transport & Highways Nitin Gadkari has called upon the MSME sector to consider technology upgradation and to look for foreign investment to forge ahead in the post-Covid scenario. He said, the relief package announced by the Prime Minister for MSME sector should be utilised by the medium and small scale industry to jump back into action.

Addressing the members of Confederation of Faridabad Industries Association and Materials Recycling Association of India in two separate video conferences from Nagpur, the Minister said, this package will energize the local indigenous industry with new life.

Government trusts industry comprehensively

Union Minister of Finance and Corporate Affairs Smt Nirmala Sitharaman has stressed that the Government trusts industry fully and comprehensively. She urged industry to plan for engaging labour with a more professional approach and engage in skilling. “Mind sets in industry need to set examples in handling workers in a way that is acceptable to all,” stated the Finance Minister.

The Finance Minister was speaking at an interaction through video conferencing with Confederation of Indian Industry (CII) which is marking 125 years of its existence in 2020. Felicitating CII on this milestone, Smt Sitharaman said that CII has played a critical role in the country and its members have played strong roles in their own sectors. She exhorted CII to stand out as an exemplar in the policymaking process.

Premier to Restart Safe Operations at Mercedes

Premier Gold announces the Company’s 100%-owned Mercedes Mine, located in the State of Sonora, Mexico, will begin a safe, phased restart of operations beginning June 1, 2020. This restart is following the Mexican Health Ministry’s decree on May 13, 2020 that amends the March 30, 2020 decree to include mining as an essential service effective June 1, 2020.

The Mercedes mine was placed on care and maintenance on April 1, 2020 in response to the Mexican federal government’s mandate that all non-essential businesses temporarily suspend operations. The management team has been developing a restart plan that will provide for a safe mine site environment that delivers cash flow from operations while working under the mandated sanitation measures required by government.

Lundin Gold production over 51K Oz in 1Q

At the juncture Lundin Gold first quarter ended March 31, 2020 Ron Hochstein, Lundin Gold President and CEO said, “We are working towards the restart of operations and we believe our financial position is sufficient to support the Company until production resumes at Fruta de Norte.  We have a dedicated team of employees at site carrying out activities to mitigate the impact of the suspension on our operations and we have reduced costs in other areas.

“The Company is contributing to the fight against the pandemic and has partnered with the provincial and local health authorities to provide aid to the local communities in response to Covid-19.”